TLT has completed the sale of a £50m portfolio of 12 care homes for 90 North Real Estate Partners LLP to two real estate investment trusts (REITs).
AEW UK Long Lease REIT plc has acquired 272 bed spaces across four schemes for £22m. LXi REIT has acquired the remaining 238 bed spaces across six schemes by way of a corporate share sale for £27.9m. The portfolio was originally acquired from Prime Life Limited and is now let on a 35 year lease to Prime Life, a dominant care provider in the East Midlands operating around 60 care homes and around 1,800 care beds.
The portfolio, which comprises 510 care beds across 12 purpose built properties and eight different locations, provides affordable high quality care with a focus on dementia care.
A team of specialist lawyers from TLT advised 90 North on the sale, led by real estate partner Daniel Halstead and corporate partner Andrew Webber.
Edward Gibbon, senior asset manager at 90 North, commented: "The sale of these assets has capitalised on a point in the investment cycle when demand for long let income to strong performing tenants is high. We are delighted that the investment has exceeded expectations, generated highly attractive risk-adjusted income and capital returns to the investors whom we advise. TLT took the pain out of selling the portfolio in two stages, and were able to complete the disposal of all twelve properties within the same week."
Daniel Halstead, partner at TLT, comments: "Despite the uncertainty caused by recent economic and political events, there is still a market for high quality property investments such as this one with plenty of investors looking to widen their investment book into alternative assets. We are delighted to have worked alongside 90 North on the disposal of the whole of this portfolio, enabling the smooth sale of these operational properties."
90 North is an independent investment advisory firm, specialising in socially responsible real estate investment, and with considerable experience working with their equity partners. Headquartered in London, 90 North has a US office in Downtown Chicago and a representative office in Kuala Lumpur, Malaysia. Since June 2012, 90 North has closed over $1,790,670,000/£1,211,440,000/€1,515,400,000 of real estate transactions across the geographic spectrum, working in joint venture with its equity partners.